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    Question

    If a party approaches before court, inspite of having an

    arbitration agreement ______.
    A Court may refer matter for Arbitration. Correct Answer Incorrect Answer
    B Court may take up matters for adjudication. Correct Answer Incorrect Answer
    C Court shall refer matter for Arbitration if valid Arbitration exists. Correct Answer Incorrect Answer
    D Court may refer matter for Arbitration even if there does not exist arbitration agreement. Correct Answer Incorrect Answer
    E It is upto the parties that they may go for Arbitration or continue with litigation. Correct Answer Incorrect Answer

    Solution

    Arbitration & Conciliation Act  S. 8.Power to refer parties to arbitration where there is an arbitration agreement.—   (1)A judicial authority, before which an action is brought in a matter which is the subject of an arbitration agreement shall, if a party to the arbitration agreement or any person claiming through or under him, so applies not later than the date of submitting his first statement on the substance of the dispute, then, notwithstanding any judgment, decree or order of the Supreme Court or any Court, refer the parties to arbitration unless it finds that prima facie no valid arbitration agreement exists.

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